Velocity Reviews

Velocity Reviews (http://www.velocityreviews.com/forums/index.php)
-   NZ Computing (http://www.velocityreviews.com/forums/f47-nz-computing.html)
-   -   Oracle Monitors Its Customers (http://www.velocityreviews.com/forums/t715997-oracle-monitors-its-customers.html)

Lawrence D'Oliveiro 02-25-2010 02:02 AM

Oracle Monitors Its Customers
 
Oracle seems to have a pretty good idea whether its customers are conforming
to their licence restrictions or not. And so far it’s been highly successful
in squeezing them for more and more maintenance revenue, even as other
income from other sources, such as sales to new customers, is drying up.

<http://blogs.zdnet.com/Howlett/?p=1805>

peterwn 02-26-2010 05:50 AM

Re: Oracle Monitors Its Customers
 
On Feb 25, 3:02*pm, Lawrence D'Oliveiro <l...@geek-
central.gen.new_zealand> wrote:
> Oracle seems to have a pretty good idea whether its customers are conforming
> to their licence restrictions or not. And so far its been highly successful
> in squeezing them for more and more maintenance revenue, even as other
> income from other sources, such as sales to new customers, is drying up.
>
> <http://blogs.zdnet.com/Howlett/?p=1805>


Oracle has obviously pitched its marketing in the right way. Producers
have for decades and longer learned to pitch its products with a low
'entry' cost but plan to make the profits on recurring items such as
maintenance, spare parts, etc. With careful planning it is possible to
make it more attractive for a client to accept a vendor maintenance
contract than go for third party maintenance (pro-comprtition laws
notwithstanding).

It is also relatively easy to assess the maintenance charge formula on
client parameters that are in the public domain or that are readily
available internally and relatively easy to audit. For example the
customer numbers and total product sold are known for power and other
utilities (these being 'natural' customers for large scale databases
handling 100,000 to 10,000,000 customers or so).

It would be a brave customer who would turn its back on SAP or Oracle
and attempt to employ some other database solution. This is as there
have been a significant number of failures of information systems
projects in NZ and overseas including the police INCIS and various
energy utility projects. You can easily go out to tender for having a
building erected or buying 10,000 widgets. It is quite different
going to tender for a 300 seat airliner or an information system.



All times are GMT. The time now is 01:33 PM.

Powered by vBulletin®. Copyright ©2000 - 2014, vBulletin Solutions, Inc.
SEO by vBSEO ©2010, Crawlability, Inc.